ministry-of-coal-auctions-9-mines-with-high-revenue

The Ministry of Coal successfully launched the 10th round of coal mine auctions for commercial mining on June 21, 2024, continuing its efforts to boost the country’s coal sector.

 

In this round, a total of nine coal mines were successfully auctioned, comprising three fully explored and six partially explored mines. These mines, with a combined geological reserve of approximately 3,998.73 million tonnes, are poised to contribute significantly to India’s coal production capacity.

 

The total Peak Rated Capacity (PRC) of these mines stands at 14.10 million tonnes per annum (MTPA), excluding the partially explored mines.

 

 

The auctions were highly competitive, with the average revenue share reaching 17.44%. This success reflects continued interest from industries in the coal sector, along with the Ministry’s efforts to maintain a transparent and stable policy framework.

 

These nine coal mines, once operational, are expected to generate an annual revenue of around ₹1,446 crore (excluding the partially explored mines).

 

Additionally, they are expected to attract an investment of approximately ₹2,115 crore and create 19,063 employment opportunities across coal-bearing regions.

 

Since the launch of commercial coal mining in 2020, a total of 113 coal mines have been successfully auctioned, contributing to a production capacity of 257.60 million tonnes per year.

 

Once these mines are operational, they will play a vital role in meeting the country’s growing energy demands while reducing dependence on coal imports.

 

The cumulative revenue generated from these auctions is expected to reach ₹35,437 crore annually, with total capital investments amounting to ₹38,641 crore.

 

Moreover, these mines will provide employment opportunities for around 3,48,268 people in coal-producing regions, thereby supporting local economies and creating job opportunities in these areas.

 

These ongoing strategic initiatives from the Ministry of Coal are part of the government’s broader plan to transform the coal sector into a key engine of economic growth.

 

By focusing on boosting domestic production and reducing reliance on foreign coal, these auctions are contributing to the country’s goal of achieving energy self-reliance.

 

The auction process also ensures a more transparent and efficient allocation of coal resources, which will help stabilize the supply chain for industries that depend on coal.